Airbus wins landmark Lion Air order: sources

Airbus wins landmark Lion Air order: sources - Europe'sAirbus has landed a record order potentially worth $20 billion at list prices from Indonesia's Lion Air, sources familiar with the matter said on Sunday, smashing rival Boeing's (BA.N) grip on one of the world's fastest-growing airlines.

In a sign of the rising importance of Asian budget carriers for high-tech manufacturing jobs, the deal is set to be announced on Monday at a ceremony overseen by French President Franciois Hollande, the sources said, asking not to be named.

France said earlier Hollande would meet Airbus Chief Executive Fabrice Bregier on Monday to celebrate "a major industrial deal," but withheld further details.

The red-carpet event mirrors a record 201-plane order for equivalent Boeing aircraft from Lion Air signed in front of visiting U.S. President Barack Obama in late 2011, sparking European claims of U.S. political pressure which Washington and Boeing denied.

The sources said the new Airbus A320-family order from Lion Air, founded by travel entrepreneur Rusdi Kirana, could top that number.

The values represent official prices but in practice, strategic airlines win significant discounts for big orders.

The Lion Air order marks at least the third attempt by Airbus to woo Lion Air, long seen as a fortress for Boeing.

It is likely to throw the spotlight on an intense battle for market share between the largest planemakers.

It is also likely to add zest to a regional battle for supremacy between Lion Air and AirAsia (AIRA.KL), the low-cost carrier founded by Malaysian entrepreneur Tony Fernandes.

Lion Air is about to start up a domestic Malaysian rival to AirAsia, which has long been exclusively an Airbus operator. Some industry watchers have warned of a potential price war.

The airlines are respectively among the top buyers of Boeing and Airbus jets. Airlines rarely switch suppliers because of re-training costs and the burden of keeping extra spares, but the practice of "flipping" has grown as market share battles raged.

The Lion Air deal will be signed at the launch of France's 'Industry Week' as part of efforts to boost domestic manufacturing. Airbus aircraft are built mainly in the planemaker's founder nations France, Germany, Spain and Britain.

Boeing outsold Airbus in 2012 for the first time in six years and remains ahead this year, according to monthly data.